Seminar

Seminar: Revenue‐ versus spending‐based fiscal consolidation announcements: follow‐up, multipliers and confidence

On Tuesday November 26th 2019, Massimo Giuliodori (UvA) will give a presentation titled: "Revenue‐ versus spending‐based fiscal consolidation announcements: follow‐up, multipliers and confidence"

Date
November 26, 2019
Time
13:00 - 14:00
Location
CPB-office, Bezuidenhoutseweg 30, The Hague (Room 3 - Braamzaal)
Presentation
Massimo Giuliodori (UvA)
Discussant
Beau Soederhuizen (CPB)
Working language
English

Based on a newly‐constructed narrative dataset on fiscal consolidation announcements for thirteen EU countries over the period 1978‐2013, a panel‐VAR analysis shows that revenue‐based consolidation announcements affect economic activity more adversely than do spending‐based announcements. The combination of larger actual follow‐up and larger revenue multipliers helps to explain the difference. The unique nature of our dataset allows to control for fiscal anticipation and the confidence channel following the announcements. The confidence channel has an important role in explaining the difference in the multipliers following the two types of announcements.

Contacts

Foto Simone Pailer
Simone Pailer +31 6 18052217 Read more